First Midwest Bancorp to acquire Bankmanagers for $195m

Illinois-based based First Midwest Bank has signed a deal worth $195 million to acquire Wisconsin-based Bankmanager and its subsidiary Park Bank in a move to expand its business in Milwaukee.

Park Bank, which was established in 1915, is said to be among the largest banks in Milwaukee. The bank operates three full-service branches in Milwaukee and Brookfield and has total assets value of nearly $ 1 billion, deposits worth $ 815 million, and $700 million in loans.

First Midwest Bank, on the other hand, holds around $17.5 billion of assets and $12 billion worth assets under management. Its main subsidiary – First Midwest Bank and other affiliates offers a full variety of commercial, treasury management, equipment leasing, wealth management, trust and private banking products among others.

The locations which are served by First Midwest Bank’s subsidiaries include metropolitan Chicago, northwest Indiana, southeast Wisconsin, central and western Illinois, and eastern Iowa.

First Midwest Bank to acquire Bankmanager and its subsidiary Park Bank. Image by Free-Photos from Pixabay.

Michael L. Scudder – First Midwest Bank Chairman and CEO said: “We are extremely excited to welcome Park Bank’s customers and team members to First Midwest. Park Bank is a trusted financial institution with established and experienced bankers who understand the Milwaukee market and the business and personal needs of their customers.

“We look forward to building on this trust and to providing award-winning service to Park’s customers as we further expand into the attractive Milwaukee market.”

As per the merger terms, Bankmanager will be issued 29.9675 shares of First Midwest common stock and $623.02 in cash for each of its shares.

David Werner – Park Bank President and CEO said: “First Midwest’s mission of helping its customers achieve financial success is aligned with our client-first approach. Joining First Midwest will enable us to both continue and enhance our commitment to relationship-banking as well as offer our customers a broader array of products and services.

“First Midwest is very familiar with the Milwaukee market, and we look forward to becoming part of the First Midwest family.”

The deal, which is subject to customary regulatory approvals, approval of Bankmanagers’ shareholders and meeting of closing conditions, is expected to be closed in January 2020.

Earlier this year, First Midwest acquired Northern Oak Wealth Management, an investment adviser with nearly $850 million in assets under management to grow its footprint in Milwaukee.